0000 Verizon 1:03 PM ivysoftware.com I. Discovered error made by Jack Hobie. One

Question

0000 Verizon 1:03 PM ivysoftware.com I. Discovered error made by Jack Hobie. One-third ($270.00) of the supplies purchased from Beach Office Supply on June 2 were actually store supplies rather than office supplies 2. Sold merchandise over the counter to Bill Hankins for S100 cash. 3. Sold S2.000 of merchandise to Sail Board City on account; terms 3/10, n/30; invoice #17. 4, Received a check from Bill Hankins in the amount of S225 to be applied to invoice #8. 5. Reccived a check from Laker Marine Supply in full payment of the balance of their account. You must determine if a discount was taken, and if so, how much it was. Seaside Marina only grants discounts on the basis of full payment of an invoice within the discount period. 6. Paid Avis Boat Builders the balance due on Seasides June 3 merchandise purchase. 7, Sent a check to Catamaran Corp. in full payment of Seaside's June 19 merchandise purchase. 8. Purchased $1100 of merchandise for resale from Tackle Box Supply on account; terms 2/10, n/30 9, Purchased $1,400 of merchandise for resale from Nautical Industries on account; terms 2/10 n/30. 10. Seaside needed additional space and purchased a warehouse to remodel and the land around it Prior to arranging permanent financing. Seaside signed a short term construction note payable. The terms of the note are S50.000, 90 days at 16%The building value was determined to be S40.000. 11. Seaside's ad agency offered Mr. Hobie a special deal. If he purchased an additional S150 of advertising to be used in August, Seaside would receive free layout services. Mr. Hobie paid the agency $150 to be recorded as advertising expense. June 29 (Tuesday) 1. Sold $400 of merchandise to Bass-A-Rama Rentals and S114 of merchandise to Carl Jenkins Both customers paid cash. 2. Sold $1900 of merchandise to Waterfront Marina on account; terms 3/10, n/30; invoice #18. 3, Received a check from Bass-A-Rama Rentals in full payment of invoice #16. 4. Received a check from Waterfront Marina in full payment of invoices #14 and #15. You must determine the amount of discount allowed, if any. 5. Certain unusable store equipment costing S1,030 was returned by Mr. Hobie and a credit was received from Office Equipment Company. The remaining balance due on the store equipment was paid in full 6. Purchased $275 of merchandise for resale from Catamaran Corp on account; terms n/30. 7. Purchased $355 of merchandise for resale from Danforth Tool on account; terms 2/10,n/30. 8. Purchased S1170 of merchandise for resale from Tackle Box Supply on account; terms 2/10, n/30. 9, Sail Board City returned $840 of merchandise purchased on June 17 and requested that their account be credited. 10. Requested& Returned S205 of merchandise purchased from Nautical Industries and was given a credit on the account. 11. Marlinspike Marine signed a 12%, 60-day note dated June 20 to pay the balance of its account. The note has not been recorded yet. Sale date was June 19. 12. Mr. Hobie leased some extra space in the new warehouse to Wayward Fishers. Seaside collected

Explanation / Answer

Please post these questions seperately.

I have answered the first part here:

* Since the Company paid $50,000 for the building, this will be the cost to the company. Its value of $40,000 is not considered in journal.

S.No. Journal Dr Cr Category of journal General Cash Receipt Cash payment purchases sales 1 Store supplies     27,000.00 To Office Supplies     27,000.00 (being store purchases entry rectified) 2 Cash           100.00 To sales           100.00 (being goods sold for cash) 3 Sail Board City       2,000.00 To sales       2,000.00 (being goods sold on account against invoice #17) 4 Bank           225.00 To Bill Hankins           225.00 (being payment received against invoice #8) 5 (provide details in the comments for the outstanding balance and the sale terms, I will provide the entry) 6 Avis Boat Builders XXX To cash XXX (being payment made for XXX amount) 7 Catamaran Corp. XXX To cash XXX To discount XXX (being payment made for XXX amount, as full settlement) 8 Purchases       1,100.00 To Tackle Box Supply       1,100.00 (being goods purchased on credit) General Cash Receipt Cash payment purchases sales 9 Purchases       1,400.00       1,400.00 To Nautical Industries (being goods purchased on credit) 10 Building     50,000.00 To Notes Payables     50,000.00 (being 90 days 16% notes payable issued against purchase of building*) 11 Prepaid Advertising Expense           150.00 To cash           150.00 (being advertising expense paid in advance)

Related Questions

Navigate

• Browse (All)
• Browse
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.